Auto Warranty Companies Fight For Your Business

car warranty - The industry of auto warranty companies is actually a fiercely competitive one. There are a limited quantity of cars on the highway - granted, there are millions of them, and each one of them, at some time or still, has or had a warranty - however with the large number of companies fighting for the business of those drivers, it means that each car owner will be the target of some very hungry sales reps.

This is definitely a daunting position to stay in for any car owner. If you are investing in a new car coming from a dealership, or investing in a used car, you will see people promoting you their warranty services.

In the dealership, you may run into a pushy sales representative who can try everything they could to get you to sign on for the extended warranty when you make your initial purchase. You can find advantages to buying at that time, including having the costs of the warranty rolled up to the financing for that car, and understanding that your dealership will continue to be the area to get any repairs or replacements done. However these comforts could end up costing you hundreds or lots of money over time. Sales people make huge commissions on warranties, so they're eager to get you to sign up for one. But the price that is rolled into the financing will likely be a lot higher than it would if you sought out your own quotes from third-party extended warranty providers. Granted, you should pay more up-front with those third-party companies, as opposed to adding a small number to your monthly car payment bills. But it would likely save a little money.

But just as not every car sales representative is out to rip you off, not every third-party providers are good guys, either. There are some risky ventures out there, so a wise shopper will compare not only the prices offered by these vendors, but the terms and conditions of the warranties they offer. If a company won't let you review the warranty before you buy, don't waste your time or money - it's likely a scam, or just a really bad set of terms that will tie you to some big costs further down the road. Auto warranty companies will fight to achieve you as being a client, so use that to your advantage. Compare prices, look at all of the regards to the warranties offered, and tell the firms you consult with “hey, cause me to the very best offer.” If they can't, someone else will.